Short Description: Amazon may acquire fitness bike maker Peloton
Amazon may acquire fitness bike maker Peloton
Amazon is reportedly acquiring US exercise equipment and media company Peloton to gain a foothold in the health-fitness industry.Amazon has been speaking to advisers about a potential deal, reports Wall Street Journal.
"There's no guarantee the e-commerce giant will follow through with an offer or that Peloton, which is working with its own advisers, would be receptive," the report said.
Peloton reported a net loss of USD376 million for Q1 2022, sending its stock into freefall the same day Planet Fitness reported it had exceeded expectations.
The company has lost over USD20 billion in value since November.
However, amid heavy shipping delays, Peloton slashed the price of its original Bike and introduced two new products.
"By the end of the year, it spent USD420 million to buy Precor, one of the world's largest commercial fitness equipment makers," reports The Verge.
Amazon is also exploring launching a Peloton-like "Prime Bike".
Peloton's main products are Internet-connected stationary bicycles and treadmills that enable monthly subscribers to remotely participate in classes via streaming media.
Peloton charges a USD39 monthly membership fee to access classes and additional features on their exercise equipment, or USD12.99 for users only accessing the content via app or website
In January this year, Peloton paused production after greatly increased demand during early stages of the Covid pandemic had vanished.
( Details and picture courtesy Gadgetsnow, the content is auto-generated from RSS feed.)
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